English summary of Honda Report to Stockholders No. 128 (which was prepared in full in Japanese language and mailed to Stockholders of Honda Stock in Japan in February 2006)

1.

CEOs message to shareholders

Honda has been expanding production capacity globally, particularly in the Asia Oceania region where Honda has been expanding both motorcycle and
automobile production capacity in line with strong economic growth. To strengthen research and development capabilities in the region, Honda will establish an automobile R&D center in Thailand to begin operations in 2007. This will enable us to
more quickly respond to the diversifying needs of customers and to manufacture products with which customers will be more satisfied.

In order to fulfill our responsibilities as a corporate citizen, Honda has proactively dedicated itself to philanthropic activities as well as business
activities. We would like to contribute to the enrichment of society by passing on the fun of creating new things and the joy of taking on challenges to children who will build the future.

In this report, we will highlight our automobile business in the Asia
Oceania region as well as our philanthropic activities.

2.

The power of the Honda brand grows brighter in a growing Asia

The automobile market in Asian countries such as India and ASEAN nations is growing consistent with economic growth in the region. Honda will expand
production capacity in Pakistan in 2006, following expansion in India in November 2005. A new plant in Vietnam will begin operations in 2006 July.

3.

Hondas philanthropic activities nurturing the dreams of the next generation

Expectations for philanthropic activities of corporations have been increasing. Honda established a philosophy for
philanthropic activities on the occasion of the 50th anniversary of the companys founding in 1998. Based on
this philosophy, Honda actively undertakes philanthropic activities worldwide.

4.

Hondas picture book

Civic:

World Basic Car opening up new frontiers for the compact car.

5.

Honda Topics:

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Honda made a new ASIMO humanoid robot debut, which features the ability to pursue key tasks in real-life environments.

(Details are as filed in Form 6-K of December 2005)

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Honda announced plans to integrate the companys three existing domestic automobile sales channels. In addition, Honda announced plans to
introduce its premium Acura brand in Japan by fall 2008.

(Details are as filed in Form 6-K of December 2005)

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Honda announced plans to begin mass production in 2007, of an independently developed thin film solar cell.